Penalties await companies that do not digitize

Penalties await companies that do not digitize
31 August 2020

As of July, companies with a turnover of more than 5 million Turkish liras had to switch to e-Invoice. After this development, approximately 450 thousand companies and freelancers are expected to switch to e-Invoice. Until today, the number of companies that switched to e-invoices has reached 296 thousand 471, while penalties await those who do not register with the Revenue Administration.

*** This release is originally published in Turkish.
Google Translate Application translates the content you see on this page.***

ISTANBUL (TR) - Legal regulation made in 2014, the obligation to switch to electronic invoice (e-Invoice), which was introduced for businesses with a certain turnover, started to be applied to businesses with a turnover of 5 million TL and above as of January 2020. However, businesses were given additional time until 1 July 2020. As of July, it became compulsory for approximately 280 thousand businesses and 170 thousand self-employed people to complete their e-transformation. Noting that the number of companies registered for e-Invoice in the Revenue Administration is 296 thousand 471, Murathan Kılıç, the Founding Partner and General Manager of Hesapküpü Murathan Kılıç gave warnings by conveying the details and legal obligations.

Artists and craftsmen are also involved in e-transformation

Hesapküpü General Manager Murathan Kılıç said that the receipts issued by professionals such as doctors, engineers, artists, managers, independent accountants and financial advisors, certified public accountants, who are deemed to be non-tax-exempt self-employed persons, needs to be issued as electronic self-employment receipts as of July 1, 2020 ( e-SMM).

"The limit in e-Waybill is 25 million TL"

Stating that the e-invoice application has also started within the scope of e-transformation efforts, Kılıç said, “In e-waybill, the limit was reduced to 25 million liras. Taxpayers, who obtained license from EMRA, tobacco products, alcoholic beverages, soda and fruit juice producers and importers, mining production operations they are engaged in sugar manufacturing, which is needed for the representatives of the iron and steel sector, fertilizer manufacturers such as many natural and legal persons of the month of July also as e-invoice application context.”

Penalties await companies that do not digitize

Noting that some companies and self-employed members still have not completed the transition processes, Kılıç said, “Freelance electronic receipt within the application period not exceeding taxpayers with special procedural penalty for e-self-employment does not edit and not the receipt (paper receipt and regulate areas including freelance) taxpayers not to be down about 350 TL for each document the self-employed that needs to be written on the receipt amount, or the amount of the difference of 10% can be deducted within the range of specific procedural penalty. The total amount of the fines in question will not exceed 180 thousand TL in a calendar year.”

“Pre-accounting programs will save companies”

Emphasizing that one of the most important digital tools for companies within the scope of e-transformation is pre-accounting programs, Hesapküpü General Manager Murathan Kılıç said, “Pre-accounting programs allow you to send an invoice to the customer from the desired location and track whether you have reached it online. Moreover, in the reconciliation process, the error rate drops to zero. All the costs of the old order, such as printing, storing, physically sending and archiving the paper bill cob, disappear. At the same time, the dependence on a physical space for transactions such as the delivery of invoices, the customer seeing the sent invoices and taking them to the payment plan disappears. The invoice reaches the customer online. For this reason, the cost of bills falls to 5-10 kuruş. Because the cost of sending an invoice with a shipping fee was 10-12 TL. Now both the collection process is accelerating and cost advantage is achieved by saving traditional operations and time, increasing efficiency.”

“The importance of digitalization was understood much better with the pandemic”

Stating that the pandemic accelerated the digital transformation processes and proved that it was a necessity, Murathan Kılıç said, “Companies that have completed their digital transformation have tended to circumvent the pandemic process more easily. In addition, brands that have digitized their business processes have continued to quickly move their offices to their homes, providing uninterrupted service to their customers without disrupting their business and cutting their bills. Thus, the importance of digitalization was much better understood by the pandemic and a guide to the business dynamics of the future was formed.”

All recordings are safe in the cloud

Stating that SMEs or self-employed persons can easily and quickly perform pre-accounting transactions with Hesapküpü, Kılıç said, “Company employees who are necessarily starting a new process may experience difficulties during transition and adjustment periods. We offer dedicated software solutions for e-transformation projects to facilitate the work of companies and employees during this transition period and beyond. Our users can easily process transactions from anywhere with an internet connection with the program, which has the ability to easily cut invoices, archive, export, income-expense and inventory tracking in seconds. All records are stored reliably on cloud-based servers. Payment and collection transactions can be tracked online. We offer our customers a free trial period of the first 3 months and 100 top-up gifts that they can use in the invoice cut during this period.”

Contact: Tülay Genç | [email protected] | +90 (850) 885 12 55